11 May Nigeria Macroeconomic & Markets Report, April 2020
• OPEC+ reach deal to cut 10mbpd.
• Inflation continued its relentless rise.
• CBN participation in I&E FX window dropped to zero.
The Financial Markets
• Fixed income returned to bull territory.
• IMF emergency funds boosted support for the Naira.
• Equity markets observed its strongest month yet.
Our Expectation for the Coming Months
• Oil prices to rise as demand returns.
• Inflation to maintain its upward trajectory particularly as lockdown effects kick in.
• Naira to improve supported by IMF emergency relief and CBN intervention.
• Manufacturing PMI to drop below 50 for the first time in 36 months.